Reforms to the Residential Leasehold System
The Government is currently seeking views and consulting on the following proposals to the residential leasehold system:
- A ban on new leasehold houses excluding shared ownership
- A restriction on ground rents. The proposed cap is £10
- Improvements to the sales of leaseholds such as an obligation to respond to enquiries within a certain timescale and a cap on managing agents fees
Nick Attwell comments: “These are all sensible suggestions which will improve the residential leasehold system. The ban on new leasehold houses and cap on ground rents will put a stop to unscrupulous practices and there is no doubt that if the management pack process could be sped up then so could the leasehold process”.